Government needs to change funding for social housing to grant or equity, Clúid says

The chief executive of the not-for-profit housing body Clúid has called on the government to change its funding from “100 percent debt” to a grant or equity.

Brian O’Gorman said Clúid was grateful for State funding and it took its responsibilities very seriously.

“But at the moment, the State is expecting us to develop housing using 100 per cent debt. So everything they give us is loans. What we’re asking, we’re not asking for more money, we’re asking for some of that debt to be changed to a grant or equity, which will enable us to reduce our gearing and make us more investable,” he said.

Speaking on RTÉ radio’s Morning Ireland, O’Gorman said a change from 100 per cent debt would reduce the need for revenue payments “if the debt is less than we have to service”.

“We know there is a significant period of trust here, but we think our track record in terms of everything that they give to housing associations is recycled. It’s available to successive generations of…

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